The tender is delayed to the nano building. Buyers pay attention to the risk.
In the past, small and medium-sized households rarely used tenders for sale. However, since the entry into force of the First-hand Residential Sales Ordinance, the tendering trend has become increasingly popular, and even spread to small and medium-sized households and nano-buildings. Buyers should pay more attention to it.
The tender sale of the building itself is a relatively complicated process. The developer has to arrange the tender documents and the venue for collecting the tenders. Afterwards, the contents of each tender must also be reviewed. The administrative cost is higher than that of the public offering. Therefore, it will only be used in some luxury properties or Characteristic units, less large-scale use in small and medium-sized units for sales.
However, with the entry into force of the First-hand Ordinance, developers are required to announce the price list and the sales arrangement three days ago, so that the “hook" and “delivery" methods used in the sale of small and medium-sized flats have faded out of the market.
Until recently, some developers have adopted the tendering practices of luxury homes or characteristic and expensive units, and they have been applied to small and medium-sized units on a large scale. Even nano-buildings have been adopted.
Complex tendering conditions, low transparency
Since the tenders do not require the publication of price lists, the process is full of “elasticity". Developers can understand the market’s intentions through agents and set the price in mind. Then they design a set of tendering arrangements. There are similarities in the goods.
Prospective purchasers should pay attention to the tendering arrangements for some new orders. Even the tendering time for individual units is extremely short. There are also some complicated terms in the new tender documents. In fact, it is not easy for the outside world to fully understand the actual transaction price of the units.
Bidding has always been a less transparent method of selling flats. Buyers are more dependent on real estate agents to receive information on developers. Consumers are in an information asymmetrical state. Therefore, more attention should be paid to risk.